Thursday, January 14, 2010

10 Years of Savings Gone in 4 And You're Better Off

That's essentially what Ramgoolam and Dr. Flat Tax want you to believe. Actually it looks like they might even want you to say thank you and probably wouldn't mind if you got on your feet and started clapping.

I always thought you become more vulnerable when your savings decrease because the cushion to absorb any humps in your life becomes smaller. Savings are already at a 30-year low.

Likewise they want us to agree that Mauritius has become more resilient with their reforms. Ahem. How does that happen when you give away Rs5 billion to a sunset industry which accounted at the time for only 4% of our economy. Or by throwing our good money after hubris-infected companies? Or by deciding to borrow in dollars instead of investing in our great people?

Just a little fact for you to see a bit better through Big Brother's propaganda machine: over two financial years (2007 and 2008) our country spent Rs23 billion on debt servicing while we spent only Rs19.6 billion on education. That's close to Rs3.5 billion more.

Where do you think the country is heading?

P.S: You may want to have a look here to find out what was happening in our country in the 1970s just in case you napped through most of it.